People who buy automobile liability insurance frequently make one big mistake - they buy too little coverage, not realizing that the amount will eventually pay for their defense and legal judgment.

Suppose you injure someone seriously with your car…

You are late for work. You decided to run on yellow light. Just before the intersection light turns red. You slam on brakes, but it’s too late – you rear-ender another vehicle.

The driver of the other car is taken to emergency care, undergoes back surgery, and spends a month in hospital recovering from the accident. After release, the driver spends one year in rehabilitation, in and out on physical therapy, missing one year of work.
Assuming that the driver was a doctor the hypothetical claim in this situation would be:

Medical Bills:      $100,000
Lost Wages:       $300,000
Pain/Suffering:    $500,000
Total Claim:        $900,000

You have only $20,000 of coverage!!!
Can you imagine what the numbers would be if the driver were killed, or had a permanent disability with a lifetime loss of income?
Believe us- we are not trying to scare you, but to show how important is to have proper liability limits.

Reference: “Insurance for Dummies” Jack Hungelmann